Oppose Three-Tier System Regulation of Hemp Bill

Wisconsin’s New “Hemp Regulation” Bill: A Bad Deal for Farmers, Small Businesses, and Consumers

Republican lawmakers Representatives Swearingen, Brooks, Novak, Steffen, Wittke, Snyder, Moses, Mursau, and Summerfield along with Senators Wimberger and James and Democratic Senator Brad Pfaff have introduced LRB-4863/1, a so-called “hemp regulation” bill that would overhaul Wisconsin’s hemp industry — but not in a good way. Behind the bureaucratic language and fancy title lies one clear intent: to hand control of hemp-derived cannabinoid products like delta-9 and CBD beverages to the same government agency that regulates alcohol — the newly renamed Division of Intoxicating Products.

This bill would treat hemp just like liquor. It creates a three-tier licensing system that forces every farmer, processor, and retailer into costly permits, inspections, and new taxes. Instead of supporting Wisconsin’s homegrown hemp market, it burdens small farms and businesses with rules designed for beer distributors and taverns.

Here’s what it really means:

• Licensing and Fees Everywhere: Growers, manufacturers, and even retailers would need special permits — the same way bars and breweries do. Local municipalities could even ban hemp sales outright.
• Heavy Taxes: The bill slaps new “occupational taxes” on hemp products — up to $0.045 per milligram of THC and $50 an ounce on flower — pricing small shops out of the market while padding state coffers.
• Over-Regulation, Not Legalization: There’s no new freedom or reform here. No adult-use cannabis legalization, no medical expansion — just more red tape.
• Prohibitionist Influence: The same lawmakers who’ve blocked cannabis reform now want to regulate hemp under alcohol law. This bill isn’t about safety — it’s about control.
• Bad for Wisconsin Farmers: Local hemp growers and processors, who helped revive Wisconsin’s hemp heritage, would be the first to feel the squeeze. Corporate distributors and out-of-state players would gain the upper hand.

Let’s be clear: Wisconsin doesn’t need another prohibition-style system. We need smart regulation that supports farmers, promotes consumer safety, and builds toward full cannabis legalization — not one that criminalizes innovation and favors big business.

If this bill passes, Wisconsin’s hemp freedom will vanish into a maze of taxes, licenses, and government control. Lawmakers should reject this “Intoxicating Products” power grab and focus on real cannabis reform that benefits all Wisconsinites.